MOTORISTS’ INSURANCE.

Waikato Times, Volume 114, Issue 19051, 15 September 1933, Page 3

MOTORISTS’ INSURANCE.

SATISFACTORY YEAR.' SLIGHT DROP IN PREMIUMS. A satisfactory year’s operations are, reviewed in the fifth annual report and statement of accounts of the North Island Motor Union Mutual Insurance Company. The report states that the net premium income for the year amounted to £65,167 19s Id, being a reduction of only £2853 11s 9d as against the previous year’s total. Income from investments amounted to £2698 14s 7.d —an increase of £798 7s 4d on the 1932 figures. The manner in which premium income was maintained, despite adverse underwriting conditions, was regarded as generally satisfactory. As the income was slightly lower than for the previous year no increments to the'reserve for unexpired risks were necessary. The net surplus for the year was £3646 14s 3d, compared with £4431 7s lOd in the previous year. The accumulated funds at the end of the year, consisting of accumulated profit. £21,570 Os Id, and reserve for unexpired risks, £34,010 15s sd, totalled £55,580 15s 6d, as against £52,084 Is 3d for 1932. During the year 2669 claims w>ere handled, the net amount paid or payable being £41,450 18s 3d. The ratio of claims payments to net premium showed an increase of 8.46 per cent, on last year’s figures, and the ratio of working costs to net premium income was 26.5 per cen t. — a drop of 1 per cent. “In the opinion of the directors ilie results of the company’s operations for the initial five years justified a drop in premium costs, and therefore the rates for comprehensive insurance were reduced by 10 per cent, as from September 1, 1933,” adds the report. The number of persons who nominated the company for their third-party insurance exceeded the figures for the previous year. Messrs A. Grayson and W. A. O’Callaghan retired from the directorate by rotation, and were eligible Tor re-election.